I'm an associate editor at Forbes, part of the team responsible for our signature issues: The Forbes 400, Global Billionaires and America's Richest Families. As a writer, I cover these wealthy business builders as well as other entrepreneurs. Before Forbes, I also reported on entrepreneurs for Inc. magazine and attended Syracuse University's S.I. Newhouse School of Public Communications.

Yahoo CEO Apologizes For Resume Scandal But Refuses To Leave

Thompson sent a memo to employees yesterday, according to Reuters and the Associated Press, which obtained copies of the memo. These were his first comments on the situation since activist hedge fund manager Dan Loeb revealed Thompson’s deception last week.

The memo came the same day that Yahoo’s board opened an investigation into Thompson’s hiring. The CEO did not explain why he lied about receiving a Stonehill College computer science degree.

While Thompson is remaining at Yahoo, Patti Hart, who led the board search committee that hired Thompson, may be leaving, Dealbook reports. Loeb also outed errors on her biography, and now, Hart may not stand for reelection to the board. She would be the first casualty in the growing controversy over the bogus resumes.

Since the scandal began last Thursday, Yahoo shares have fallen 3.4%. The stock was down 1.4% to $15.13 in late morning trading today.

Before Thursday, Yahoo had reported that Thompson held both a computer science and accounting degree from Stonehill College. In reality, Thompson only has an accounting degree; Loeb outed the mistake in a public letter to Yahoo’s board of director.

After Yahoo tried to pass off the mistake as “an inadvertent error,” Loeb demanded Thompson’s resignation by Monday. With Thompson still at the helm, Loeb, who controls 5.8% of Yahoo through his hedge fund, Third Point, now wants Yahoo to turn over all records related to Thompson’s hiring and Hart’s appointment to the board. He cites a law in Delaware, where Yahoo is incorporated, where a shareholder can review documents if he has proper purpose and meets procedural requirements.

Thompson started as CEO only five months, laying out a turnaround plan that has focused on reducing costs. He laid off 2,000 employees last month, cutting 14% of its workforce. Yahoo staggered in recent years, needing to compete with faster-moving Web companies like Google and Microsoft and media businesses like News Corp. and Viacom. Yahoo’s stock has fallen nearly 18% in the past year.

“I am hopeful that this matter will be concluded promptly,” Thompson wrote in the memo, according to the Associated Press. “But, in the meantime, we have a lot of work to do. We need to continue to act as one team to fulfill the potential of this great company and keep moving forward.”

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This guy has been charged with beating out his competitors from one of the original web 1.0 companies. With the dishonesty that some companies show these days and the tactics they use its no surprise that people have to turn to desperate measures to get ahead. His history at paypal shows that he knows how to lead a web company and make it profitable. Maybe instead of firing him or pushing him out they can restructure his contract to an incentive one. He should have to work for free unless they meet certain goals for shareholders within x amount of time.

I’m more concerned about the salaries of CEOs and executive staff than their exaggerations on their resumes.

They bring no skin to the table, but they sure do take allot of skin from investors. Their value is grossly overstated, where the value of others in the company are understated. Consider that productivity of workers has continually risen, while their salaries have not – at least at the same pace.

Have executive staff really improved measurably over time, or do they bring the same bloated egos that they always have with little to show for?

Every company needs a good leader. But time and time again a higher salary does not guaranty results. Is Thompson really worth $27M? Is anyone without a sizable personal investment really worth that much to a company? Are the investors getting a return on that “investment”, which I think should more properly be coined a waste.

Wow. Just wow. This man has the audacity to lie on his resume but has no scruples to step aside. He may be CEO but he can be fired. Does Thompson really want to go out like that? A complete imbicile? I would anticipate Yahoo! losing whatever employee morale they had if Thompson isn’t booted promptly.

This kid has some serious balls to obtain the title of CEO by lying that he has a bachelor degree in computer science…perhaps though there is some truth…he’s got a pretty good degree in BS-ing his way to the top dog slot. I know for a fact that in all companies I have ever worked for…regardless of what you can do, or have done for a company…if you are found lying on your job application, or resume…the grounds are immediate termination. This guy needs to be fired, and removed with security guards. End of story and the drama ends right there. Done!

The CEO straight out put a lie on his resume to get the job. Now he refuses to step down when his lie is exposed. I wonder what lies he will tell to share holders going forward? Nice ethics Scott Thompson you should be held accountable for you bad behavior.

Scott represents how low business in America stoops. The lie is more than just a lie, it is a reflection of this turd’s moral character. It tells me this is the kind of guy that will hold his employees to higher standards than he hold himself. No doubt, he will create a larger political cesspool within Yahoo than already exists. If Scotty has any degree at all it’s an MBA, where playing the angles and myopic focus on “shareholder value” are institutionalized. Make no mistake, I am a hardcore capitalist but most of our business leaders today are simply repulsive manipulators that put their career first and the business second. Hey Scotty, grow a moral fiber (just one?) and resign, you lying, manipulative turd!